Meme stocks feel like a relic of a bygone era. Indeed, all of the meme stocks that I can think of have been totally crushed since their heyday. GameStop (NYSE:GME), AMC (NYSE:AMC) and Peloton (NASDAQ:PTON), to name several, are all trading tremendously below the all-time peaks that they attained in 2020 or 2021. And none of those names, in my opinion, is at all attractive even after their plunges. However, there are a few one-time meme stocks whose huge declines have been unjustified. These names all have upcoming positive catalysts, leaving them very well-positioned to rebound tremendously.
Plug Power (PLUG)
When it comes to Plug Power (NASDAQ:PLUG), the Street is obsessing with the trees and missing the forest.
According to Barron’s, shares tanked in the wake of PLUG’s latest quarterly earnings report. This happened because the company revealed it has fallen behind on its plans to launch green hydrogen plants. But, the firm continues to make progress on that front as its Georgia factory is close to being fully operational. Additionally, it has four other plants either under construction or completed. And, the Street is also concerned about the company’s margins, but PLUG recently reported that by the end of this year its ability to produce its own green hydrogen.
Finally, the Street is worried about the company’s potential need to obtain additional cash. However, during its Q2 earnings call, Plug reported that it was fairly close to receiving a $1 billion loan from the Department of Energy. If it obtains that its cash problems should be mostly solved for the foreseeable future.
Bionano (BNGO)
In the last few years, I’ve seen multiple experts quoted as saying that the optical genome mapping (OGM) method of DNA analysis enabled by Bionano (NASDAQ:BNGO) is far superior to much more widely used techniques.
In the most recent example, a paper published by the College of American Pathologists stated that OGM allows researchers “to recognize (many) clinically relevant aberrations” missed by much more widely used methods. For example, in a recent study evaluating OGM’s ability to analyze a rare blood cancer in 100 samples, the technique identified DNA characteristics that were missed by standard techniques in 34 samples. In half of those 34 samples, the new information changed the risk assessment, according to the college.
And importantly, it appears that insurers are noticing the positive impact that OGM can have on patients. Specifically, that BNGO is holding talks with Palmetto which authorizes coverage and reimbursement for molecular diagnostic tests in the U.S.
BlackBerry (BB)
A little-noticed development, combined with a possible impending split of BlackBerry (NYSE:BB), could be transformative for the company over the longer term.
The little-noticed development was the adoption of a range of BlackBerry software and services by Foxconn. As part of the deal, Foxconn intends to launch the first EV incorporating BlackBerry’s offerings. Given Foxconn’s huge size, manufacturing acumen and tremendous profits, the company should be able to relatively quickly build and effectively market many EVs that incorporate BlackBerry’s software and app store. As a result, the deal should significantly boost BB’s top and bottom lines within the next year or two.
Further, within the next several weeks, BlackBerry is expected to announce the results of its strategic review. I believe that the company may very well announce that it will split itself into two firms, cybersecurity and internet of things. I believe that the split would be bullish for the company’s shares. That’s because I think that, after the split, investors would have more respect for the tremendous growth and potential of the internet of things firm, which had a large royalty backlog of $640 million as of the end of March and the huge potential of its cybersecurity unit which extensively utilizes AI.
On the date of publication, Larry Ramer held long positions in PLUG, BNGO and BB and a short position in GME. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
